A new PwC Nigeria report reveals that 67% of Micro, Small, and Medium Enterprises (MSMEs) have seen a drop in demand over the past two years due to rising inflation.
The survey, which covered 567 MSMEs across various sectors, highlighted that high product costs and low consumer purchasing power are significant factors contributing to this decline.
The report also noted that inflation in Nigeria reached a record high of 34.19% in June 2024, driven largely by increased food prices.
Although inflation rates had been decreasing earlier in the year, they unexpectedly rose again in June, with experts predicting a potential easing by the end of 2024.
Despite these difficulties, Nigerian MSMEs have shown resilience and adaptability.